Bankruptcy

People often ask if they qualify for bankruptcy. The answer is – everyone qualifies for some type of bankruptcy, it just depends which type. There are a number of different chapters of the bankruptcy code you can file under. The three that consumers might use are Chapter 7, Chapter 13 and in some rare circumstances, Chapter 11.

Chapter 7

Chapter 7 bankruptcy is the most common type of bankruptcy case filed by individuals and married couples. In a Chapter 7 bankruptcy case, the client will begin the process by meeting with an experienced attorney to review their financial situation. The attorney will review the client’s assets, income, debts and financial history to see if the client is a good candidate for Chapter 7 bankruptcy. Bankruptcy has a Means Test which looks at the Client’s average income in the last six months and compares to the median income in Los Angeles for a similar household size. The Means Test also looks at a list of hypothetical expenses for various living costs in Los Angeles and comes up with an amount of monthly disposable income that a Client should have available. If the client’s disposable income is very low or negative, then they qualify for Chapter 7, if not, then they must do a Chapter 13 case. Read more here.

Chapter 13

Chapter 13 bankruptcy case an experienced attorney will draft a plan to restructure a Client’s current debt obligations.  Chapter 13 plans typically have a 36-60 month timespan.  Clients are not required to always repay their debts in full - in fact, in most cases Clients repay some portion of their debts while the rest is discharged. Read more here.

 

Debt Settlement, FCRA/FDCPA Violations, Tax Resolution, and Creditor Lawsuit Defense

Many areas of law overlap with consumer bankruptcy practice. Often, an individual’s debt problems are complex and bankruptcy may not be the best solution. If creditors have sued you, often bankruptcy is the best solution but if it is not a good choice, we can also represent you in defending the creditor lawsuit. If you have credit report errors that just won’t go away, or creditors harassing you, we can help. There are remedies available for abusive debt collection under the Fair Debt Collection Practices Act (FDCPA) and Rosenthal Fair Debt Collection Practices Act (RFDCPA). Similarly, for credit reporting errors, there are remedies available under the Fair Credit Reporting Act (FCRA). If you have delinquent income taxes, that is also a problem we can assist you with. Contact us today and you can consult with an experienced attorney to look at every available option.

Disclaimer: We are a debt relief agency. We help people file for bankruptcy relief under the Bankruptcy Code. Nothing contained in this website should be construed as legal advice. Consult with an attorney for advice regarding your individual situation. Contacting us through this website does not create an attorney-client relationship. Nothing in this website is intended as tax advice, nor is it intended to be used, and cannot be used, for the purpose of (i) avoiding penalties under the Internal Revenue Code or (ii) promoting, marketing or recommending to another party any transaction or matter addressed herein. Attorney Brett Bodie is responsible for this website.